Beyond the beloved and Mistral: 21 European startups worth watching

Europe should be known for BottleCap AI, not Bottle cap memes. Judging by its ironic name, this Prague-based AI startup is one of the teams venture capitalists think you should know about.

That’s not to say European startups never break through the noise – lovable and Mistral AI Evidence of that. But there are many who don’t have it Nine figures in annual recurring revenue However, insiders are still watching the matter closely.

This is where this list comes into play. Over the past few weeks, we’ve asked investors in some of Europe’s most popular venture funds to recommend two startups each: one from their portfolio (because they liked the startup enough to invest in it) and one outside of it (because they’re startup experts but can’t invest in all of them). We’ve also thrown in some picks of our own.

From pre-launch to… UnicornThese startups are at different stages of their journey, and from different sectors. Given our methodology, it may not reflect where the hottest places in the region are, but it does reflect how Deep technical talents It could help Europe play its own cards in the AI ​​race.

Ares high

Recommended by Julian Codorniu, General Partner, 20VC.

What does: Ares high Developing artificial intelligence-powered anti-drone systems.

Why it’s worth watching: Defense technology has gone from pariah to vogue, especially in Europe, where the war in Ukraine has been a wake-up call for militaries to modernize. Alta Ares interceptors address the need for cheaper solutions to detect and counter drone strikes.

yard

Recommended by Jan Hammer, Partner, Index Ventures (investor).

What does: yard He provides Invoicing management for small business owners.

Why it’s worth watching: SMEs can be a lucrative sector for fintech companies; Business owners are willing to spend at least some money to save time, and there are millions of them.

Potify

Recommended by Claire Houry, Ventech General Partner (Investor).

What does: Potify Helps brands increase their visibility in AI searches.

Why it’s worth watching: Businesses are still striving to replace SEO with Generative Engine Optimization (GEO) – but this Disabled NY 2016 alum It has already embraced this shift. Potify She has competitors in her new field such as: Otterly.AI and adultbut also big clients, from Macy’s to The New York Times.

Bottle cap AI

Recommended by Julian Codorniu, General Partner, 20VC (Investor).

What does: Bottle cap AI Develop competency-focused LLMs and foundation applications.

Why it’s worth watching: With the founding trio that includes the entrepreneur who He sold his previous company to Meta and two AI researchers, BottleCap adopted a dual approach. The startup builds its own models and releases applications based on them, including to throban AI-powered news app.

Kailab

Recommended by Flavia Levy, Investment Director, Join Capital.

What does: Kailab Developing photonics for space, defense and industrial applications.

Why it’s worth watching: Cailabs builds on advanced research in the science of light, which it now applies to faster, more robust data transmission. Supported by investors from the public and private sectorsIt plans to deploy 50 optical ground stations to support the growing demand for laser communications via satellite.

Calla

Recommended by Anna Heim of TechCrunch.

What does: Knowledge graph for artificial intelligence agents.

Why it’s worth watching: Calla It plans to build the knowledge layer that AI agents are missing. Its founder is Elisenda Bo Palost, a high-profile Spanish entrepreneur and artificial intelligence expert She sold her previous company Phylinx To Apple In 2020.

rose

Recommended by Pär-Jörgen Pärson, Partner, Northzone (investor).

What does: Renewable energy management.

Why it’s worth watching: Wind and solar energy are inherently variable. rose It takes advantage of artificial intelligence systems and battery power storage to make its use more predictable. This Swedish company also recently raised More than $60 million in bonds To continue scaling.

essential

Recommended by Jonathan Osierovichi, General Partner, Headline (Investor).

What does: Artificial Intelligence Foundation for Big Data Analysis.

Why it’s worth watching: essentialThe base model of Nexus focuses on Helping companies extract insights from their data. The company just came out of stealth in February, but it’s already valued at $1.4 billion after a $255 million Series A.

Gradium

Recommended by Jonathan Osierovichi, General Partner, Headline.

What does: Voice models for artificial intelligence.

Why it’s worth watching: GradiumIts AI models can be used for real-time text-to-speech, giving AI agents a voice in multiple languages. A copy of the French artificial intelligence laboratory Kyotai, a competitor of ElevenLabs Raised a $70 million seed round Her own.

HappyRobot

Recommended by Pablo Ventura, General Partner at Kfund.

What does: AI agents for complex use cases.

Why it’s worth watching: HappyRobotstartup Powered by a16z Y Combinator is one of many AI building tools, but its focus is on making sure it can be deployed and generate a return on investment. It is headquartered in the United States, but its three founders and part of its team are Spanish.

Withdrew in

Recommended by Claire Houry, General Partner at Ventech.

What does: Physical AI for factories.

Why it’s worth watching: Combining artificial intelligence and robotics, Withdrew in It improves and expands automation in manufacturing, from automotive and electronics to household goods production lines. The startup says it is already active in more than 70 factories.

Ligura

Recommended by Pär-Jörgen Pärson, Partner, Northzone.

What does: Artificial intelligence platform for lawyers.

Why it’s worth watching: As competition from LLM holders increases, legal technology will also revolve around marketing. Grab your popcorn Harvey v. Ligura after Ligura It outperformed its competitor by Recruit Jude Law To be the face of its brand. That’s one point for the Swedish-born startup, which is… It is now headquartered in New York But it’s still one of Rising AI stars in Stockholm.

Macro data labs

Recommended by Florian Di Mobio, Director at Serena Data Ventures.

What does: AI training data infrastructure.

Why it’s worth watching: “Every powerful model starts with great data.” Macro data labs The claims on its landing page are “coming soon.” But the startup won’t build that data; Its upcoming platform will provide other companies with the tools to create powerful training datasets.

Multiverse computing

Recommended by Julie Port from TechCrunch.

What does: It offers compressed versions of open weight models such as OpenAI, Meta, DeepSeek, and Mistral AI.

Why it’s worth watching: Multiverse computingThe company’s technology takes a proven model and makes it smaller and less expensive to run, especially on the company’s own hardware. The Spanish company was co-founded by CTO Roman Uros, professor at the Donostia International Center for Physics, It raised $250 million.

Optics11

Recommended by Flavia Levy, Investment Director, Join Capital (Investor).

What does: Fiber optic sensor systems.

Why it’s worth watching: Optics11The company’s technology makes it possible to monitor equipment underwater and in similar harsh conditions. Its capabilities in preventing outages in subsea infrastructure and power grids helped the startup secure project debt from European Investment Bank.

Penylene

Recommended by Jan Hammer, Partner, Index Ventures.

What does: Financial management platform for SMEs.

Why it’s worth watching: Penylene I started With accountingBut she has bigger plans. Like many other growth-stage fintech companies, this French rhinoceros It has expanded its scope, with the ambition to build a unified financial operating system for SMEs in Europe.

PLD space

Recommended by Anna Heim of TechCrunch.

What does: He fires missiles.

Why it’s worth watching: PLD space It is part of Europe’s campaign for space independence. after Successful launch of a suborbital rocket in 2023It is currently developing a reusable orbital launch platform for small satellites. Last month, the Spanish company acquired… $209 million Series C round Led by Mitsubishi Electric, which raised its financing to more than $350 million.

Proxima Fusion

Recommended by Daria Saharova, General Partner of the Global Fund.

What does: Nuclear fusion.

Why it’s worth watching: The race to find an alternative to nuclear fission continues, and Proxima Fusion It is one of Europe Strongest contenders. The VC-backed company recently acquired $460 million from the state of Bavaria To support its plans to build a fusion power plant in Europe, starting from Star demonstration Near Munich.

Roof line

Recommended by Florian Di Mobio, Director at Serena Data Ventures (Investor).

What does: Software to deploy AI model on advanced chips.

Why it’s worth watching: The emergence of the university Roof line It bridges the gap between AI and the increasingly fragmented hardware layer with software that allows users to efficiently deploy models on different types of chips.

Space crafting

Recommended by Daria Saharova, General Partner, Global Fund (Investor).

What does: Space crafting Manufacture of semiconductor components in space.

Why it’s worth watching: Manufacturing in space is on the rise – for pharmaceutical applications and for chips, which are Space Forge Focus. With the additional headwinds of geopolitics, the startup is already forging ahead: it happened recently Plasma generated In low Earth orbit.

Thicker

Recommended by Pablo Ventura, General Partner, Kfund (Investor).

What does: Robots as a service.

Why it’s worth watching: Thicker It is one of the many startups that Zara owner Inditex is backing through A dedicated fund managed by Mundi Ventures. Theker’s AI-powered robots could help the retail giant improve its logistics, but the startup is also pursuing use cases in waste management and food and beverage production.